The Institute of Directors has published a white paper ‘The Green Incentive: how to put net zero at the heart of business planning’.
The policy paper sets out four specific medium-term recommendations which would incentivise businesses, and particularly smaller businesses, to play their part in decarbonising the economy.
The Government has set a national climate change target of net zero by 2050. However, there are a lack of effective incentives and support for small and medium sized businesses to achieve net zero themselves.
Therefore, the IoD is calling on the UK Government to:
- Be explicit that it wants every business to achieve net zero in its operations.
- Introduce, with several years’ notice, a lower corporation tax rate for organisations that have achieved net zero, compared to those that have not. This recommendation does not necessarily require a greater use of taxpayer resources or, conversely, that taxes necessarily rise
